July 18, 2024

The flagship cryptocurrency, Bitcoin, looks to be at a crossroads as it continues to trade flat, indecisive about whether to move downward or upward. Commenting on this current price action, crypto analyst Eric Krown Crypto reveals key factors that will decide Bitcoin’s next move. 

Bitcoin In “Outlier Land”

In a video posted on his YouTube channel, Eric Krown used the Stochastic indicator to analyze Bitcoin’s current price and predict what direction the crypto token was likely headed. Based on his analysis, Krown noted that the current Stochastic level was pointing to a potential correction that was well overdue for Bitcoin

The analyst claimed that a correction would likely see Bitcoin drop to the $30,000 range, with him marking the $28,000 price level as the “worst-case scenario.” Meanwhile, he noted that the 5-day HPDR bands were still showing that the median was around $44,500. As such, he expects that BTC could still see a move to that price level or $45,000 in the short term. 

Krown believes that Bitcoin staying below $46,000 means that the correction is likely to come at some point, hinting that Bitcoin could end up closing February in the red. However, a move above $46,000 will validate a move to the upside, with the crypto token likely to rise above $50,000 and climb to as high as $53,000, the analyst claimed. 

BTC To Follow History Or Defy Expectations? 

Krown also alluded to historical data to prove that Bitcoin’s monthly close in the red was imminent. He stated that Bitcoin usually averaged about three consecutive three months in the green before having a red month. The longest number of months in which Bitcoin has gone in the green is said to be seven. 

Therefore, he was suggesting that it wasn’t out of place for February to be a red month for the flagship crypto token, considering that it has ended every month in the green since September. Those gains came largely due to the excitement over the potential approval of the Spot Bitcoin ETFs

Bitcoin has recently continued to defy expectations, and there is the possibility that February could still end up being a bullish month for BTC. Interestingly, data from Coinglass shows that February (alongside October) is the most bullish month for the flagship crypto token, with Bitcoin closing February in the red on just two occasions. 

At the time of writing, Bitcoin is back above $43,000, up in the last 24 hours, according to data from CoinMarketCap. 

Bitcoin price chart from Tradingview.com

BTC price trending at $43,100 | Source: BTCUSD on Tradingview.com

Featured image from Milk Road, chart from Tradingview.com

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